Core Viewpoint - Paladin Energy Ltd has provided an update on the Patterson Lake South (PLS) Project, confirming the technical robustness and significant progress made since its acquisition of Fission Uranium Corp. in December 2024, with a target for first uranium production in 2031 [1][2][4]. Engineering Review - The Engineering Review is part of the ongoing Front-End Engineering and Design (FEED) work, building on the 2023 Feasibility Study [4][6]. - The review has confirmed design improvements, including changes to the process plant layout, site logistics, and infrastructure upgrades [5][6]. Economic Estimates - The updated pre-production capital costs are estimated at US$1,226 million, with average life of mine (LOM) cash operating costs at US$11.7 per pound of U3O8 and sustaining capital costs at US$325 million [6][7]. - The project maintains an unchanged LOM production estimate of 90.9 million pounds of U3O8 and an average annual production of 9.1 million pounds [7][9]. - The updated Net Present Value (NPV) at an 8% real discount rate is US$1,325 million, with an Internal Rate of Return (IRR) of 28.2% and a payback period of 2.4 years based on a US$90 per pound uranium price assumption [9][10]. Sensitivity Analysis - The sensitivity of the project's economics to changes in uranium prices has been detailed, showing varying NPV, IRR, and average annual free cash flow (FCF) based on different price scenarios [10][11]. - For instance, at a uranium price of US$120 per pound, the NPV increases to US$2,172 million with an IRR of 37.5% [10]. Project Timeline - The anticipated project schedule has been updated, with first uranium production targeted for 2031, reflecting the timelines for engineering, procurement, construction, and regulatory approvals [12].